ATLANTA - Wells Fargo makes a 180-degree change that would impact financial resources and the credit standing for some of its customers.
The bank last month sent correspondence to people who held personal lines of credit with them announcing those accounts would be closed. The San Francisco-based bank wanted out of this kind of banking. They received a lot of customer push back on this.
Many people use personal lines of credit to meet the occasional budget shortage, to use in emergencies like your AC going out, and to use for something special like a vacation. It’s an approved amount of money where you can draw on it then pay back what you borrowed monthly.
Here’s how it’ll go now. The bank will not open new lines of personal credit. That decision was made May 2020 and they're sticking with it. If you currently have and use this credit line, then keep using it. If your account has been inactive for 12 months, you can either use it to activate it or call Wells Fargo and let them know. If you don’t reactivate it by Dec. 2, the account will be closed.
If you are a customer with a personal line of credit, you should’ve already received a letter from Wells Fargo. If you have not, call the bank and find out where your personal line of credit stands.